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How to make accounting entries for raw material procurement
How to make accounting entries for raw material procurement

Accounting entries for purchasing raw materials:

Invoices, bills and materials arrive at the same time.

The accounting entries are as follows:

Borrow: raw materials

Taxes payable-VAT payable (input tax)

Loans: bank deposits or notes payable, etc.

The invoice and bill have arrived, but the materials haven't arrived yet.

The accounting entries are as follows:

Debit: materials in transit

Taxes payable-VAT payable (input tax)

Loans: bank deposits or notes payable, etc.

After the materials arrive, they will be accepted and put into storage:

Borrow: raw materials

Lending: materials in transit

The materials have arrived, but the invoices and bills haven't arrived yet.

The specific accounting entries are:

Borrow: raw materials (tentative evaluation value)

Credit: accounts payable-estimated accounts payable

At the beginning of next month, the scarlet letter of previous employment will rush back:

Borrow: raw materials (estimated) (red-ink write-off)

Credit: accounts payable-estimated accounts payable (red-ink write-off)

Wait until the invoice bill comes, and then

Borrow: raw materials

Taxes payable-VAT payable (input tax)

Loans: bank deposits or notes payable, etc.

Purchase materials in advance. Referred to as "pre-order".

In advance:

Debit: Prepaid Account (Prepaid Amount)

Loans: bank deposits

After receiving the materials:

Borrow: raw materials

Taxes payable-VAT payable (input tax)

Credit: Prepaid account (actual payable amount)

Payment:

Debit: Prepaid account (the difference between prepayment and payable)

Loans: bank deposits

Refund of overpayment:

Debit: bank deposit

Credit: advance payment (the difference between advance payment and payable)

How to record entries for raw materials in catering industry?

1. When purchasing raw materials:

Borrow: raw materials

Credit: accounts payable

2, raw materials warehousing entries:

Borrow: raw materials

Loans: bank deposits/accounts payable

3, raw material outbound entry:

Borrow: production cost

Loan: raw materials

When raw materials are still in transit, they will be regarded as "materials in transit". When an enterprise purchases materials and commodities, it shall debit the "materials in transit" subject according to the amount that should be included in the procurement cost of materials and commodities.

According to the deductible value-added tax, debit the subject of "tax payable-value-added tax payable (input tax)", and credit the subjects of "bank deposit" and "notes payable" according to the actual amount paid or payable.

How to make accounting entries for purchasing raw materials?